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Biotech / Medical : Imclone systems (IMCL) -- Ignore unavailable to you. Want to Upgrade?

To: CPAMarty who wrote (175)	1/8/1999 6:15:00 PM
From: QuietWon	Read Replies (2) \| Respond to of 2515

Marty, let me explain. First, the 19.9% cap is very likely b/c of ownership restrictions and/or accounting methods - at 20% or more may have to be accounted for differently. The payments by Merck: 1. $30m 'cash' now 2. pmt you mention - means when milestone reached in development, Merck will buy stock in the co at price in the market plus some premium - I presume they have told IMCL they will pay some set $ amount which would be higher than the current price. Something like MSFT taking a stake in QWST for $45, tho QWST's price was $42 or so. $30m = set$ price x some number of shs 3. Financing/credit provided to develop a plant to produce the cancer vaccine.